The Indian Hotels Company Limited (IHCL) has informed stock exchanges that a committee of its Board has approved the execution of definitive agreements to acquire around 51% stake in Brij Hospitality Private Limited. The total investment for the proposed acquisition will not exceed Rs 225 crore. The disclosure has been made under Regulation 30 of the SEBI Listing Regulations.
As per the filing, IHCL will acquire the stake directly and/or through its step-down subsidiaries, ANK Hotels Private Limited and Pride Hospitality Private Limited. The transaction will be executed through a Share Subscription and Purchase Agreement, Share Purchase Agreement(s), and a Shareholders’ Agreement, subject to fulfilment of specified conditions precedent.
Brij Hospitality Private Limited operates and manages hotel assets under the ‘Brij’ brand. The company has a portfolio of 22 hotels, with 11 hotels currently in operation. Its properties operate under brands including Brij Anayra, BrijRama Palace and Brij Bageecha. The company is engaged in the hospitality sector and focuses on boutique hotel operations in India.
For the financial year 2024–2025, Brij Hospitality reported a turnover of Rs 62.31 crore. This compares with a turnover of Rs 51.35 crore in FY 2023–2024 and Rs 31.87 crore in FY 2022–2023, as per details disclosed by IHCL.
IHCL stated that the acquisition is intended to support the development of the boutique leisure segment while continuing its capital-light growth approach. On completion, the transaction will result in the addition of Brij Hospitality’s 22-hotel portfolio to IHCL’s overall portfolio.
The company has classified the transaction as a related party transaction. One of the seller shareholders of Brij Hospitality is related to a director of Pride Hospitality, a step-down subsidiary of IHCL. IHCL clarified that the transaction is being undertaken on an arm’s length basis.
